Massachusetts casino initiative dies in legislature
by Paul Doocey
April 29, 2008
As recently as three months ago, it appeared the
establishment of casinos in Massachusetts
was a foregone conclusion.
The initiative to create three large-scale casino resorts for the state was
introduced and championed by recently-elected Democratic Gov. Patrick Deval,
who wanted to use license and tax proceeds from the gaming properties to plug a
projected state budget shortfall. It appeared, at least initially, that support
for the measure was growing in the Democrat-controlled state legislature,
especially because it filled a budget hole without having to raise taxes on a
large majority of state citizens. A poll of 500 Massachusetts adults conducted
by the Boston Globe showed 53 percent in support of casino expansion against
only 34 percent opposed. The Patrick casino plan was backed by powerful local
unions such as AFL-CIO, the Teamsters and the Massachusetts Teacher’s
Association.
Indeed, the gaming industry thought the casino-enabling measure far enough
along that representatives from Las Vegas Sands, Wynn Resorts, Harrah’s
Entertainment, Mohegan Sun and Foxwoods were reportedly scouring the state for
potential gaming resort sites.
Yet, when the Patrick casino measure finally came to a late March vote in the
Massachusetts House after a six-hour debate, it was tabled for further study by
a 108-46 margin, essentially killing any chance of it passing this
year.
At first glance, the failure of the Patrick casino plan appears to have come
primarily from the hands of one man: House Speaker Salvatore F. DiMasi. A
long-time casino gaming opponent, DiMasi reportedly politicked behind the
scenes to make sure the government committee overseeing the bill voted against
it, 10-8, just days before it was to be brought to the House floor for a
general debate and vote — all but insuring its defeat.
DiMasi, during a press conference, called the vote a victory for the people of
Massachusetts over “big money special interests.” He said House members
“withstood incredible pressure from the deep-pocketed gambling industry, unions
and the governor’s office.”
Patrick had a different view of the events. “It’s disappointing, but not
surprising,” he told the Boston Globe after the House floor vote. “The process
— given the midnight maneuvers last night, and backing and forthing today —
speaks for itself.”
However, identifying DiMasi and a political power struggle between him and
Patrick as the sole cause of the casino bill’s defeat would be disingenuous.
There is plenty of blame to go around for the measure’s demise, ranging from
Patrick misreading the gaming support in his own party in the state legislature
to the actual casino bill itself, which failed to include provisions for the
state’s racing industry and to adequately spell out how gaming proceeds would
be allocated. It also did not help that the week before the vote, questions
arose about Patrick’s claims on the number of jobs and annual revenue casinos
would bring to the state.
The one silver lining for the gaming industry in this situation is that it
appears casino expansion is not a dead issue in Massachusetts. The state’s racing industry
will likely push for a slots-at-tracks initiative. It is also probable that
pro-gaming legislators will seek a referendum on casino expansion for the fall
ballot, to let state voters voice their opinion on the issue. Finally, as the
budget gap looms, it is likely casino legalization will be considered again by
the state legislature, considering the support it has among certain
politicians, unions and the general populace.
“Politics is patience and perseverance,” Harrah’s Senior Vice President of
Government Affairs Jan Jones told the Boston Herald. “It doesn’t mean it will
change this year or next year, but it doesn’t mean the opportunity won’t
present itself again.”
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